Investors will be looking for clues about a U.S. rate hike
at an annual meeting of central bank governors in Jackson Hole
next week.

The Hang Seng Index fell 0.4 percent, to 22,937.22,
while the China Enterprises Index lost 0.5 percent, to
9,606.17 points.

For the week, HSI was up 0.7 percent, a third straight
weekly gain, while HSCE gained 0.5 percent.

Hong Kong Exchanges and Clearing Limited (HKEX) is
introducing its new Volatility Control Mechanism (VCM), which
would prevent extreme fluctuations and price volatility arising
from trading incidents. The new mechanism will come into effect
on Monday.

Analysts in Hong Kong expect the new VCM will only have very
limited impact on the overall market. And they welcome the
approval of a long-anticipated Shenzhen-Hong Kong stock connect
scheme and hope to see fund flows from mainland due to cheap
valuations of shares listed on the Hong Kong market.
(Reporting by Winni Zhou and Nicholas Heath; Editing by Kim
Coghill)